Einstein: -The definition of insanity is doing something over and over again and expecting a different result.
All businesses have their ups and downs. Every dip does not call for fundamental change, but a pattern of weak results is the signal to consider the need for a turnaround. When a company spends more and more time fending off vendor demands for payment, when managing cash takes more time than managing growth, when scheduled loan payments cannot be met, when new customers become a rarity – the company is a candidate for a turnaround.
A business turnaround is the reversal of falling (or failing) results — sales and profits – through fundamental change. Typical turnaround activities include
It typically starts with..
1. You get control of cash. The turnaround process starts with analysing cash available vs, needs, and how cash is being spent. Three choices are considered Fix it, Sell it or Close it. Subsequently focus on cash cow business.
2. Competitive repositioning, which involves strategizing businesses where you have edge over your customers and can outpace them.
3. Next, a “situation analysis” reviews all the components of the business and the way it delivers value to customers. Some quick winners can give immediate results, which can make your business fly again.
4.Focus is shifted from increasing topline to profitable topline. Concept that top line is vanity and bottom line is sanity takes the front seat
Selling assets, closing some product lines and building others, adjusting the work force, new pricing, operations improvement, raising funds and refinancing options are some of the other options which are considered.
ASAP has assurance model, wherein we charge only once agreed KPI’s are met. It takes teamwork and a solid commitment to good communication, excellence, and industry best practices to serve a company in this situation.We revitalize your business with our years of experience and expertise.